It is time for us to pay attention to the fiscal theories and concepts our politicians seem to believe...based on their actions around monetary policy and spending of money (money the country does not have).
We have passed the point of being able to pay off the National Debt ($27,561,010,000,000 and growing each second), so what is the remedy? We know that politicians want to spend more money to deliver pork to their constituents.
The remedy is simple. Convince an unaware and gullible public that it doesn't matter that the country has giant fiscal liabilities, and that the answer is to print more money, as much as the government desires, and that there will be no negative consequence. What politicians need is a new concept of fiscal and monetary policy that will make unlimited government spending the solution to all of our problems.
Enter "Modern Monetary Theory." It is called a "Theory" for a reason. There is no proof that it will work as a monetary policy. This is pretty scary.
The concept of MMT, which Congress seems to be pursuing is a fantasy, positing that that government can spend more freely by borrowing or printing money than is assumed by conventional monetary theory.
We need to begin to beware of where we are headed. Inflation will return with avengence at somepoint, making equity assets like real estate a"safe haven."
I hear people fret that real estate prices cannot go up forever and that they are at a peak. The fact is, the best thing you can buy, today, to protect your accumulated wealth, or to accumulate wealth, is real estate (and other forms of equity assets).
(Please share this if you are so inclined. It is serious business)
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